You have probably heard all the virtues of living and investing overseas many times. And, indeed, there’s an overwhelming case in favor of it.
But there’s a huge gap when comparing buying property abroad with buying property back home: financing. Without the ability to finance, our options for buying abroad are limited. And most people believe financing in a foreign country is out of the question.
But, in fact, you can finance abroad. Today I’m going to discuss five options that may be available to you when buying overseas.
You won’t find all of these options available in every situation, but they’re all worth considering. Let’s take a look at each financing option in turn.
This one is hardest to find worldwide, but it’s often the best option where it’s available. Here are four things to keep in mind:
- Generally speaking, loan-to-value ratios will be lower than you’re used to. The best I’ve seen personally is 75% of value, and the lowest was 50%.
- Terms will be shorter, with 30-year loans fairly unheard of.